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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: kech who wrote (33109)	6/24/1999 4:46:00 PM
From: Ruffian	Read Replies (5) \| Respond to of 152472

Any Comments> QCOM DOWNGRADE by: sbrow54552 23300 of 23301 Today Hambrecht & Quist analyst Edward Snyder issued a "MARKET PERFORM" rating on QCOM.I was curious so I called him for his views.Here they are as accurately as I can remember.He thinks that THIS QUARTERS NUMBERS WILL BE HIGHER than the consensus and just raised his estimates.However,he feels that Nokia,Motorola,and Ericcson will be selling the majority of handsets in the future and therefore QCOM's handset business will drop or not grow as much as expected.Since the majority of it's earnings are from handsets he feels that the increase in earnings from royalties(which are currently 6% of sales and 20% of profits)will NOT offset the drop in profits(or slowdown in growth of).Therefore,after this quarter he's concerned about profits.He did agree with me that if QCOM sells the handset business the stock will probably go thru the roof!All comments appreciated.

To: kech who wrote (33109)	6/27/1999 12:29:00 PM
From: gdichaz	Read Replies (1) \| Respond to of 152472

One of the most interesting elements of the Omnipoint merger is the key financing is from a major Hong Kong company. Why? Tom, you and others have focused on the advantage for US residents going to Europe who can use their Omnipoint GSM phone in Europe on the ground there. Let's not forget that in Asia, GSM is the installed leader. Once Omnipoint is nationwide, why wont people from the West Coast (and even Easteners, Midwesteners, Southerners - you name it) use an Omnipoint GSM phone in Asia, Latin America, South Africa or whereever GSM is the installed base. For the next couple or years this is a major challenge not only to the Q and terrestrial CDMAOne, but also to the CDMAOne version of the G* phone. The GSM version of the G* phone may show surprising strength in the US itself, let alone Europe and elsewhere where GSM is strong. My slogan for the Q has been Onward and Upward. I stand by that. But we do need to keep our eyes open to potential challenges in the short run. IMO the Omnipoint merger with Hong Kong financing is a real monkeywrench in the works Chaz PS And sadly, this all works in reverse. GSMers from around the world can more easily (and cheaply) use GSM phones nationwide in the US..